Errington calls for a salary history ban in Indiana
INDIANAPOLIS – State Representative Sue Errington (D-Muncie) calls for a salary history ban in Indiana as we transition back to work amid the COVID-19 pandemic. When employers request an applicant’s salary history as part of the hiring process, it forces some applicants – often, women – to carry past pay discrimination or lower earnings from job to job.
Studies show that when employers have access to past wage information, it can potentially impede wage growth, particularly for women and minorities who are already experiencing the wage gap.
“Indiana has the 8th widest pay gap and as we work to rebuild our economy, it only makes sense to rebuild it in a way that promotes equality and fairness for all,” Errington said. “As people get back to work, we want them to go back to high-quality, high-paying jobs to ensure that the people of our state are able to bounce back in the event of another crisis.”
This past session, Errington authored a bill that that would have implemented measures to prohibit employers from using an applicant's wage history in the hiring process. This piece of legislation would have encouraged employers to rely on the skills, experience, training and education of the individual rather than the salary the person was last paid. It would have also required employers to provide a wage range for a specific position to ensure that all applicants were receiving the same possible salary. However, the House Employment, Labor and Pensions Committee chairman refused to give this piece of legislation a public hearing.
“When women are paid less than their male counterparts, they don't just suffer lost wages - often, contributions to retirement and other workplace benefits are tied to salary - meaning women also miss out here, too,” Errington continued.
“In Indiana, nearly two million women are part of our labor force. If we value Hoosier women, we should do all we can to eradicate pay discrimination and ensure that people are paid appropriately for their skills and contributions.
“With all of the changes we've had pushed on us amid this pandemic, let's make the choice to help our Hoosier women, minorities and families where we have the ability to do so.”